Palm shares take 25 percent plunge after downer earnings announcement
Paul Miller|@futurepaul|March 19, 2010 2:59 PM
shares went wild? Well, after months of setbacks in the sales arena, and a rough $22 million Q3 loss announced yesterday, Palm's stocks took over a 25 percent dive today, dipping below $5 for the first time since the Pre was announced. At the time of this writing things seem to be leveling off a bit, but it's the most damage the shares have seen since October of 2009. Morgan Joseph analyst Ilya Grozovsky has downgraded the stock to "sell" and set a target price at $0. Canaccord Adams analyst Peter Misek has set a similar target, saying that he sees a "complete lack of earnings visibility." So, candlelit vigil time? Imminent buyout? Riots in the streets? Hardly. Palm's own Jon Rubinstein said in the earnings announcement that the company is "looking forward to upcoming launches with new carrier partners" which should (hopefully) brighten spirits a bit, and we haven't heard a single credible buyout rumor, despite plenty of wild conjecture. There are also still a pair of analyst hold outs (just two, to be exact) that have buy ratings on the stock, reports Thomson Reuters. As for rioting? Well, that's up to you. No matter what, Palm has some serious soul searching to do.